- Chevron (CVX -0.9%) is downgraded to Equal Weight from Overweight with a $135 price target at Morgan Stanley, which believes CVX's risk vs. reward has become more balanced in the near-term due to relatively flat production.
- Looking ahead, however, the firm sees "relative outperformance" for the company over the next three years.
- Replacing CVX as Stanley's top pick among oil majors is Occidental Petroleum (OXY -1.7%), which the firm upgrades to Overweight from Equal Weight with a $120 price target, up from $110.
- OXY's restructuring will unfold in the next 12 months and drive upside to growth estimates and value, the firm says.
at CNBC.com (Nov 18, 2014)